(1) Eligibility starts with the date a household applies for benefits. However, when a new member joins a participating household the eligibility of the new member will begin the month after the presence of the new member is reported. If the presence of the new member will result in increased benefits to the household, increased benefits cannot be issued for the month in which the new member is reported. However, increased benefits shall be issued:
(a) effective with the month after the new member is reported; and
(b) if the new member is reported after the 20th of the month and it is too late to include the new member in the next month's issuance then a supplemental benefit for the new member will be issued by the 10th day of the next month.